Correct Option
Statement 2 is correct. The Self-Help Group (SHG) model operates on the principle of joint liability. When an individual member of an SHG takes a loan, all other members of the group collectively assume responsibility for its repayment. This peer pressure and mutual support mechanism ensures high repayment rates.
Statement 3 is correct. Both Regional Rural Banks (RRBs) and Scheduled Commercial Banks (SCBs) play a significant role in supporting SHGs. They provide financial assistance in the form of loans and also offer technological support, such as facilitating digital transactions and micro-ATM authentication, to enhance financial inclusion among SHG members.
Incorrect Options
Statement 1 is incorrect. The Self-Help Group (SHG) movement in India was primarily promoted by the National Bank for Agriculture and Rural Development (NABARD) in 1992 through pilot projects, not by the State Bank of India (SBI).
Options (a), (c), and (d) are incorrect as only two of the given statements are factually accurate.